Better than whining

Jan. 21, 2008

Written by

A Journal News editorial

Anyone who has strolled through the new Ritz-Carlton's sumptuous lobby, glanced at the sleek decor of the upscale BLT Steak, browsed away a lunch hour in Barnes & Noble, or snapped up bargains at Target has to give some credit to Louis Cappelli, the developer who transformed a fading downtown White Plains into a must-see destination.

Likewise, Cappelli, who polished his reputation and presumably amassed a fortune building in White Plains, ought to acknowledge the efforts of the city's Common Council. Despite all the push and shove of the approvals process, the council and Mayor Joseph Delfino have enabled Cappelli's fortunes to rise like his towers.

That's why it is so distressing to hear the bickering that is now taking place over an important part of the Cappelli puzzle. Both critics and champions of Cappelli's development have been waiting for him to build apartments for regular folks amid the high-priced towers. Back when the Ritz-Carlton was still on the drafting table, Cappelli had agreed to build 41 units of affordable housing to meet his obligation under city law. His certificate of occupancy for the second of two 46-story Ritz-Carlton towers was supposed to depend upon that timetable.

But very little in construction, it seems, runs according to timetable.

'I get hammered'

The delays piled up for various reasons, particularly a complex and ultimately failed project of rival developer Martin Ginsburg; back and forth over that project, which involved the land slated for the affordable housing expected from Cappelli, slowed everything down.

Cappelli opened the first Ritz-Carlton tower in the fall and wants to open the second tower by Aug. 15, but he must provide at least 24 units of affordable housing before then or the city will withhold its certificate of occupancy. Cappelli thinks he needs a couple more months to build "world-class" affordable housing and says he's being punished for trying to accommodate Ginsburg. The Common Council, however, is sticking to the agreed upon timeline.

"Are you going to punish people who want to move into the Ritz," Cappelli asked a stone-faced Common Council last week. "Are you going to tell them you don't want their taxes? Every time I try to do something here and I go the extra mile, I get hammered. It's just stressing the heck out of me that the second tower of the Ritz-Carlton is held hostage."

Tempers have flared on both sides, but reasonableness should dictate the future conduct of the city and the developer. That means not penalizing the blameless Ritz-Carlton purchasers by denying the certificate of occupancy; delays in their taking possession at Ritz-Carlton could cause a ripple effect adversely affecting so many others -the people purchasing the properties being vacated by the Ritz-Carlton buyers and the people purchasing those buyers' homes, etc. In this tough real estate climate, every effort should be made to avoid more upheaval and uncertainty.

But neither Cappelli nor any other developer should be allowed to escape such commitments willy-nilly. To the extent that their agreements do not otherwise provide, the city and Cappelli should negotiate hefty and escalating penalties for each day beyond Aug. 15 that White Plains continues to wait for the long-promised affordable housing, with the proceeds earmarked for building more affordable housing.

Such sanctions would continue pressure on Cappelli to live up to his promises, minimize inconvenience and aggravation for blameless victims, and show the city to be a reasonable partner in the downtown-development scheme - one willing to go to bat for high-end and middle-range residents alike. And perhaps it would end the whining and finger-pointing, too.